Alternative Payment Permitted Sample Clauses

Alternative Payment Permitted. Notwithstanding the foregoing provisions requiring payment by check, payment of such purchase price or any portion thereof may be made by delivering to the Company shares of stock of the same class as the shares then subject to this Option, such shares to be credited toward such purchase price on the valuation basis set forth below, valued as of the day immediately preceding the date the notice of exercise is delivered to the Company, in which event the stock certificates evidencing the shares so to be used shall accompany the notice of exercise and shall be duly endorsed or accompanied by duly executed stock powers to transfer the same to the Company; provided, however, that such payment in stock instead of cash shall not be effective and shall be rejected by the Company if (i) the Company is then prohibited from purchasing or acquiring shares of the class of its stock thus tendered to it, or (ii) the right or power of the person exercising the Option to deliver such shares in payment of said purchase price is subject to the prior interests of any other person (excepting the Company), as indicated by legends upon the certificate(s) or as known to the Company; if the Company rejects the payment in stock, the tendered notice of exercise shall not be effective hereunder unless within 10 business days after being notified of such rejection the person exercising the Option pays the purchase price in acceptable form. Fair market value of the common stock for purposes of this Paragraph 4 shall be determined in accordance with the provisions of Paragraph 3. Notwithstanding the foregoing, the Company shall not be obligated to accept payment of the exercise price pursuant to this Paragraph unless the stock tendered as payment for the exercise price has been held by the Grantee for at least six months. The Company also has the discretion to refuse any methods of payment that would cause the Company to recognize a charge to its earnings.